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1. The Maasai are nomadic, they move from place to place. This is  traditionally 

what they have done. What are other “traditions”) mentioned in the passage? 

2. Who makes the decisions in regards to the author’s people? 

3. How long do you think they have lived this way?

4. Do you think the Maasai are happy? (Explain what you chose)

The

Maasai

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What is a Traditional Economic System?

•“Past beliefs” and ways of doing

things determine goodsand services should be produced.

•Traditions determine goods

and services are produced and

gets them.

In these societies:

•Young men follow in their father’s footsteps. 

•Young women take on their mothers’ roles. 

•

Leaders govern by laws/practices that have been in place for many, many

years.

•Basic needs have priority over wants.

•People willingly share and trade basic goods and services.

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Advantages:

•Creates a sense of “community”, security, and

comfort.

•Little or no money is used. Most people have jobs, no

matter how simple.

Disadvantages:

•Not much room for economic growth.

•Very little change over time.

•Technology is rarely used.

•Little chance to improve one’s social standing, usually

results in a lower standard of living.

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The Command 

Economic System

What does it mean to be a “pure” Command (or Planned)

economic system?•The idea is…a “central planning” agency (government) will control the economy.This group or government will make all the decisions regarding:

•The 4 questions – What is produced? How? How Much? And For Whom?

•How goods and services are distributed.

•How resources are used.

•Even how trade is conducted, jobs people may have, even what they get

paid..

Where will you find a system like this in use?•Communists

•Fascists

•Dictatorships

•Socialists

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Advantages:•Government is supposed to take care of its citizens

 – food, clothing, shelter

•Unemployment should be low – most people will

have a job•Economy is supposed to stand up stronger to

troublesome economic times like recession.

•There is an idea of equality and fairness to it.

There shouldn’t be the very wealthy or very poor – 

rather an equal distribution of wealth/income.

Disadvantages:•No real economic freedoms

•Little choice – little variety of goods and services.

•Loss of individual freedom – i.e. not allowed to be

an entrepreneur•Is inefficient - due to a lack of competition and no

profit motive.

•Shortages are common - Therefore “lining up” is

common in command economies.